Best Buy offers a maintainance plan for three years that covers it. They told us that we would use it because we would need to replace the battery after about six months, guarenteed.
iPod Owners - Your one year warranty includes replacement coverage for a defective battery. You can extend your coverage to two years with AppleCare Protection Plan. During the second year, Apple will replace the battery if it drops below 50% of its original capacity. If it is out of warranty, Apple offers a battery replacement for $59, plus $6.95 shipping. Apple disposes your battery in an environmentally-friendly manner.We have Freepers who are going on three years with their original batteries. Third parties are willing to replace the iPod batteries for less than $30 if it becomes necessary... or you can buy your own and replace it DIY for under $20. The battery is no longer an issue.